MGMT 3880; PART 4

The voluntary and unconditional transfers of cash or other assets by private firms for public purposes is called ______. (Check all that apply.)

corporate philanthropy corporate giving

The major functions of a labor union include _______. (Check all that apply.)

ensuring safe working conditions. negotiating employee wages.

One study found that disrupted supply chains reduced a firm's stock performance compared to their peers by ______.

forty percent

The illegal recruitment and movement of people against their will, usually for economic gain is called ______. (Check all that apply.)

human trafficking forced labor

Gifts of products or services as a form of corporate giving are called ______.

in-kind contributions

Compared to the United States, corporate philanthropy in Europe is ______.

less common

Alternative dispute resolution, settling disagreement between companies and consumers outside the courts, can take the form of ______.

mediation arbitration

Arguments in opposition to holding the food industry liable for obesity are that ______, according to Exhibit 14.B. (Check all that apply.)

parents, not the food industry, should be responsible for their children's diet individuals should be responsible for their own weight control

In the workplace, protecting workers' personal life from unwarranted intrusion by the employer is termed ______.

privacy rights

Identify the terms that describe the process by which non-governmental institutions enable and constrain economic activities. (Check all that apply.)

private regulation private governance

When a company takes back dangerous or defective products, this is called a ______.

product recall

When someone is entitled to be treated in a certain way, this is referred to as a ______.

right

In 2017, Missouri passed a _______ law that bans unions from requiring member dues.

right-to-work

Conducting a study to identify the underlying cause of repeated violations of particular standards is called ______.

root cause analysis

A man who returns a toaster that shoots sparks when plugged in is exercising the consumer protection right to ______.

safety

When lead firms and their suppliers exchange knowledge and collaborate on improvements, they create common benefits known as ______.

shared value

Business leaders and employees may regularly donate their time to assist others in the form of ______ volunteerism. (Check all that apply.)

skills-based paid time off unpaid

The benefits from corporate philanthropy that accrue to business and society are called return on ______.

social investment

Corporate giving that is linked directly or indirectly to business goals and objectives is specifically called ______.

strategic philanthropy

The action of monitoring a supplier's compliance with a specific code of conduct is called a ______.

supply chain audit

A visual representation of the multiple links between a lead firm, its suppliers, and eventually its customers is called a(n) ______.

supply chain map

According to the case The Ugly Side of Beautiful Nails, government regulations in the nail industry were difficult to enforce because ______.

there were numerous small salons that frequently went out of business

The consumer movement in the United States is currently championed by which nongovernmental organizations? (Check all that apply.)

Consumer Federation of America Public Interest Research Group National Consumers League

The consumer movement is most accurately described by which statements? (Check all that apply.)

Consumer collectives that speak for the interests of millions of shoppers The term consumerism as a synonym for the consumer movement Organized groups of consumers safeguarding their own rights

Which sources of contributions are represented by organizations rather than individuals? (Check all that apply.)

Corporations Foundations

In the past, most office romance policies followed which approach?

They banned all workplace romances across the board.

The sources of power that suppliers can leverage over lead firms include which types of power? (Check all that apply.)

Informational Economic

Income inequality in the United States has changed in what way since 1980?

It increased dramatically.

Since 2006, the proportion of large and mid-sized firms in developed countries that have adopted a supply chain code of conduct has changed in what way, as depicted on Figure 17.2?

It increased dramatically.

The term community is accurately described by which statement?

It is a company's area of business influence.

What makes behavior advertising different from traditional advertising? (Check all that apply.)

It is based on observed online behavior. It is targeted to a particular individual.

The term community relations is accurately described by which statement?

It is the organized involvement of business with the community.

According to the International Labor Organization, child labor is accurately described by which statements? (Check all that apply.)

It is work that is harmful to physical and mental development. It is work that deprives children of their childhood, their potential and their dignity.

The term supplier is accurately described by which statements? (Check all that apply.)

It may also be referred to as a vendor or a contractor. It is an organization that provides goods or services to another organization.

Of the total amount of philanthropic contributions, about what percentage represented corporate donations?

Just 5 percent

Deceptive advertising is best illustrated by which examples? (Check all that apply.)

A company falsely claiming that their medication prevents criminal behavior An unsubstantiated "organic" label on personal care products

Identify the scenario that best exemplifies product liability.

A firm failed to warn consumers that their talcum powder products can cause ovarian cancer.

Employees depend on employers in what ways? (Check all that apply.)

Employees earn retirement savings through their employer. Employees receive compensation from their employer. Employees develop a sense of self through their employer.

The law that gives workers the right to a job free from recognized hazards is called the ______.

Occupational Safety and Health Act

Corporate giving has in general been in which pre-tax income percentage range?

One-half of one percent to two percent

Companies can reduce income inequality is what ways? (Check all that apply.)

Pay all employees a living wage. Reduce pay differentials in their firms.

The voluntary process of dispute resolution through mediation is best illustrated by which example?

Services to resolve mortgage foreclosure claims

The collaborative partnership between IBM and P-TECH resulted in which benefits? (Check all that apply.)

Skilled technology workers Jobs for students

How has the Occupational Safety and Health Act (OSHA) benefited employers since its passage? (Check all that apply.)

The number of lost workdays has been reduced. Worker compensation costs have decreased.

Groups that track, collect and combine private consumer data from various sources into individual profiles that are sold to retailers and advertisers are called ______.

Data aggregators

How has the Occupational Safety and Health Act benefited workers since its passage? (Check all that apply.)

Deaths from brown lung have been notably reduced. The rate of lead poisoning has dropped dramatically. The number of overall workplace deaths has significantly decreased.

True or false: The "gig economy" has forced companies to become less cost-efficient.

False

True or false: The consequences of unpredictable work schedules are strictly financial.

False

Large corporations often use corporate foundations to manage their philanthropic donations for which reasons? (Check all that apply.)

Firms want to centralize administrative tasks. Companies want to leverage the professional expertise of foundations.

Gap Inc.'s Personal Advancement and Career Enhancement program is an example of which reason that companies engage in supplier development?

The lead firm feels a moral obligation to the supplier.

In the discussion case, IKEA's Sustainable Cotton Supply Chain, which statement accurately describes IKEA's supply chain?

The long and complex chain involved transporting products to many different facilities.

The leading causes of death on the job in the United States include ______. (Check all that apply.)

vehicle accidents explosions and fire contact with dangerous items

Labor unions, such as the Teamsters, are most accurately defined as organizations that represent ______.

workers on the job

Voluntary interaction and cooperation between business, government and civil society is referred to as ______.

collaborative partnerships

When companies fail to manage social, ethical, and environmental risks in supply chains, company costs include reduced ______. (Check all that apply.)

return on assets return on sales operating income

In the context of the doctrine of employment-at-will, identify the restrictions on employers termination of employees without a written employment contract. (Check all that apply.)

Discrimination based on factors such as race or religion Any reason that constitutes a violation of public policy Any reason that violates the Worker Adjustment Retraining Notification Act

What is the primary advantage that the firm Switcher receives from enabling customers to track the movement of their products in the supply chain through the website respect-code.org?

Enhanced brand loyalty

What is the primary method that is currently used to discourage employee theft in the workplace?

Honesty tests

Some argue against honesty tests in the workplace for which reasons? (Check all that apply.)

Honesty tests often generate false positives. They may be considered an invasion of privacy.

How were environmental and social standards enforced across IKEA's supply chain, according to the case IKEA's Sustainable Cotton Supply Chain?

IKEA formed a multi-stakeholder coalition to promote the standards.

When Unilever and Symrise partnered with NGOs and aid organizations to help vanilla farmers in Madagascar, they achieved which benefits? (Check all that apply.)

Improved crop yields A more stable vanilla supply Higher income for farmers

A company that develops strong bonds with its employees often realizes which workforce benefits? (Check all that apply.)

Increased productivity Enhanced loyalty

After a worker has failed to resolve a harmful work issue internally, which conditions would further justify whistle-blowing? (Check all that apply.)

Reporting the problem publicly will probably stop or prevent the harm. The harm is serious enough to justify the probable costs of disclosure to the whistle-blower.

An industry-wide code of conduct specific to technology firms such as Hewlett-Packard, Apple, Dell, Intel and Cisco is called the ______ Code of Conduct.

Responsible Business Alliance

In the Wells Fargo example, why was the whistle-blowing manager eventually given his job back?

Retaliation against whistle-blowing is illegal and regulators ordered his return.

Which major consumer right was violated according to the discussion case Volkswagen's "Clean Diesel" Campaign??

Right to be informed

Which part of the world has the highest rates of unionization?

Scandinavia

What primary form of corporate giving did Salesforce contribute when working with the Red Cross, according to the case Salesforce's 1+1+1 Integrated Philanthropy Model?

Skills-based assistance

Corporate philanthropy in Europe is less common than in the U.S. for which reasons? (Check all that apply.)

Tax breaks for corporate giving in Europe are less generous than in the United States. Governments spend more on social welfare so that less private donations are needed.

Identify the risk to shoppers introduced through the collection, buying, selling, and usage of vast amounts of personal consumer data. (Check all that apply.)

The chance that one's personal information could be used fraudulently A major violation of privacy that might lead to unanticipated harm

Which action by Volkswagen violated consumer protection laws, according to the case Volkswagen's "Clean Diesel" Campaign?

The company fraudulently advertised its diesel vehicles as environmentally friendly.

After Volkswagen admitted fraud, how did the courts protect impacted customers, according to the case Volkswagen's "Clean Diesel" Campaign?

The courts ordered Volkswagen to buy back or repair each affected vehicle.

In 2017, how did the relationship between the Department of Education and the CFPB change, according to Exhibit 14.A?

The department of Education stopped collaborating with the CFPB which weakened the effort to protect student borrowers.

A worker is morally justified to initiate whistle-blowing under which employment conditions? (Check all that apply.)

The employee has tried and failed to resolve the issue within the organization. The organization is doing (or will do) something that seriously harms others.

The term social capital is accurately defined by which statements? (Check all that apply.)

The goodwill that is engendered by the fabric of social relationships The norms and networks that enable collective action

Whether or not work can be considered to be child labor depends on which factors?

The hours worked The child's age The work conditions

Identify an argument in favor of holding the food industry liable for obesity.

The industry failed to adequately communicate the health risks of some of their foods.

Product liability is accurately defined by which statement?

The law proactively deters irresponsible behavior by companies

From a consumer perspective, what is the primary problem related to product recalls?

The public may not actually be aware of the recall.

Behavioral advertising is accurately described by which statements? (Check all that apply.)

The seller is more likely to reach prospective customers. Individuals may be weblined based on their profiles. The buyer receives more relevant messages.

Why were the economists' findings that about seven percent of all corporate foundation giving was politically motivated so significant, as explained in Exhibit 18.B? (Check all that apply.)

The totals exceeded the amount that companies spent on lobbying. Corporations wouldn't do it if it didn't pay off.

Identify one of the ways in which some firms have addressed concerns over the environmental impact of long-distance supply chains.

They adopted local sourcing policies.

What is the primary reason that businesses favor the use of mandatory arbitration clauses to resolve customer disputes?

They avoid costly lawsuits.

Identify the goals of consumer protection law. (Check all that apply.)

To protect consumers against possible hazards To promote competitive pricing on goods and services To ensure consumer choice of products and services

The purpose of the Consumer Financial Protection Bureau (CFPB) is accurately explained by which statements? (Check all that apply.)

To protect consumers from unfair and deceptive financial practices To ensure that consumers have clear and timely loan details To promote financial services innovations

True or false: As lead firms interact to develop their suppliers, they follow a sequential process where lower level activities sometimes continue even as they progress through the next cumulative steps.

True

True or false: Employees have a duty to behave responsibly in the workplace such as dealing with customers and coworkers in an honest, fair, and nondiscriminatory way.

True

True or false: Some experts argue that the most effective way to assure socially responsible practices in global supply chains is a combination of public and private regulation.

True

True or false: When businesses benefit from their gifts (value creation), this enhances their ability to make further gifts (inputs), thus creating a kind of virtuous circle.

True

Which countries have the lowest unionization rates? (Check all that apply.)

Turkey United States South Korea

How have right-to-work laws affected labor unions?

Unions were weakened due to decreased worker rights.

How do businesses and industries protect consumers from harmful products, as shown in Figure 14.1? (Check all that apply.)

Voluntary codes Product recalls Quality programs

Examples of worker rights violations in the nail salon industry included which situations, according to the case The Ugly Side of Beautiful Nails? (Check all that apply.)

Worker's wages were very low and they sometimes worked without pay. Nail technicians worked with polishes, solvents, hardeners, and glues that caused respiratory and skin ailments.

According to the legal doctrine employment-at-will, a worker without an employment contract can be fired for ______. (Check all that apply.)

any bad cause any good cause no cause at all

The main responsibilities of the Occupational Safety and Health Administration include ______. (Check all that apply.)

assigning fines to health and safety violators. enforcing health and safety standards. setting health and safety standards.

The key elements of the Class Action Fairness Act of 2005 include _______. (Check all that apply.)

basing attorney fees on the plaintiff's amount received or time spent moving lawsuits over $5 million from state to federal courts

What inputs could be used to measure Salesforce's return on social investment, according to the case case Salesforce's 1+1+1 Integrated Philanthropy Model?

cash, time and software

The active involvement of businesses and individuals in changing and improving communities is called ______.

civic engagement

Identify the legal mechanism that hundreds of Volkswagen owners used to gain restitution for the company's deception, in the case Volkswagen's "Clean Diesel" Campaign.

class action lawsuit

A nonprofit organization that manages philanthropy programs for a specific corporation is called a ______.

corporate foundation

Workplace drug abuse in the United States costs business about $193 billion a year, including ______. (Check all that apply.)

rehabilitation services lost productivity medical claims

The Children's Online Privacy Protection Act of 2000 limits the collection of information online from and about children under the age of ______.

thirteen

A supplier that builds products directly for another company is called a ______ supplier.

tier-1

The stakeholder interests of suppliers include _________. (Check all that apply.)

using their productive capacity efficiently servicing orders to make a financial profit

A community relations manager typically performs which duties? (Check all that apply.)

Encouraging employee volunteerism Developing community programs

The Food and Drug Administration (FDA) performs which regulatory functions? (Check all that apply.)

Ensures the safety of new pharmaceutical drugs prior to release Pulls existing dangerous dietary supplements off the shelf Ensures the safety of new food products prior to release

Identify the provisions of the Responsible Business Alliance code of conduct. (Check all that apply.)

Ethics and management Health and safety Labor standards

In which part of the world has the employment social contract given workers and unions greater representation?

Europe

The right to be forgotten, which protects individual information during Google searches, was implemented in which part of the world?

European Union

Identify recent advances that have improved supply chain transparency. (Check all that apply.)

Genetic markers Mobile apps

Identify the reasons that have led to an increase in private regulation efforts across global supply chains. (Check all that apply.)

Lack of jurisdiction of home country governments Limited enforcement power of transnational institutions Weak regulatory capacity in developing countries

Deceptive advertising is best defined by which statements? (Check all that apply.)

The setting of unreasonable expectations about a product False or misleading claims about a product The omission of relevant information

An example of a company taking action to build social capital is ______.

a food company working to address the issue of hunger in the local community

A situation that could cause a firm to compromise an employee's privacy rights is best shown by which example?

A firm that learns that a worker has a serious medical condition

The problem of alcohol and drug abuse in the workplace affects how much of the workforce?

A small fraction

Government efforts to protect consumer privacy include which action?

A telemarketing "do not call" list

The term supplier development is accurately described by which statements? (Check all that apply.)

Activities taken by a lead firm to improve the performance of their suppliers Investing time and resources to expand a supplier's capabilities

Environmental concerns that are likely to arise in the global supply chain include which issues? (Check all that apply.)

Air pollution emissions Toxic chemical dumping

The Class Action Fairness Act of 2005 was opposed by which groups? (Check all that apply.)

American Trial Lawyers Association Consumers' organizations

Firms that participate in civic engagement actions frequently gain which benefits? (Check all that apply.)

An enhanced company reputation Greater stakeholder loyalty A way to avoid operational problems

The term social contract is best defined by which phrases? (Check all that apply.)

An implied understanding A set of shared expectations

Quality management business processes voluntarily address customers' interests in what positive ways? (Check all that apply.)

Assuring defect-free products Monitoring customer satisfaction Identifying customers' needs

What was the trend in corporate philanthropy in 2017 as compared to the deduction percent legally permitted?

At only 0.9 percent of pretax profits, it was far below the permitted amount of ten percent.

U.S. tax rules allow businesses to deduct donations up to ten percent of their pre-tax income for which purposes? (Check all that apply.)

Charitable Educational Scientific

How can employers monitor workers without sacrificing their privacy? (Check all that apply.)

Clearly define all monitoring policies. Monitor employees only for cause.

Cite evidence of possible self-interest as a motivator for Exelon having donated $25,000 to the Barton Family Foundation, according to Exhibit 18.B. (Check all that apply.)

Economists found that donations to congressmembers with influence over a company's interests were more likely to receive charitable contributions. Barton served on the Energy and Commerce Committee which issued approvals for nuclear power plants, like the one Exelon wanted to build.

The impact of employee work schedules on employees and government is accurately depicted by which of the following, according to Exhibit 15.A? (Check all that apply.)

Employees with predictable work schedules find it easier to arrange for child care. Some state governments now require employers to provide work schedules several days in advance.

Employers depend on employees in what ways? (Check all that apply.)

Employers need employees to provide services. Employers need employees to make products.

Low wages in supplier factories in developing countries are supported by which arguments? (Check all that apply.)

Low wages allow brands to price their products competitively. Low wages reduce overall costs for manufacturers.

The mission of the Food and Drug Administration (FDA) is to ensure the safety and effectiveness of which consumer products? (Check all that apply.)

Medical devices Pharmaceutical drugs Cosmetics

The consumer affairs officer is typically in charge of which responsibilities? (Check all that apply.)

Monitoring customer social media posts Management of a customer call center Oversight of a self-service website

Identify arguments expressing concern with public subsidies of professional sports franchises, as discussed in Exhibit 18.A. (Check all that apply.)

Only team owners and players benefit from the public tax dollars. Funding is shifted away from more important projects.

Corporate volunteerism provides which benefits to the company? (Check all that apply.)

Participation increases worker pride in the firm. Employee volunteers tend to stay longer with the company. Participants improve their organizational citizenship skills.

The risk of workplace assault or homicide is greatest in which occupation?

Police officers

Human trafficking is most prevalent in which jobs and industries? (Check all that apply.)

Prostitution Textile industry

According to a survey conducted by the Society for Human Resource Professionals, under what circumstances are office relationships banned by 99 percent of workplace romance policies?

Relationships between employees in a direct chain of command

The term supply chain code of conduct is accurately described by which statements? (Check all that apply.)

Social and environmental standards set by a lead firm for its suppliers Voluntary rules of behavior governing a lead firm's suppliers

Identify arguments in support of public subsidies of professional sports franchises, as discussed in Exhibit 18.A. (Check all that apply.)

Sports teams spur local economic development. Professional sports teams help build civic pride.

Low wages in supplier factories in developing countries are opposed by which arguments? (Check all that apply.)

Sweatshop suppliers often harm a lead firm's reputation. Low wages do not allow workers in developing countries to achieve a decent standard of living.

True or false: The consumer affairs officer of today uses large amounts of customer data to predict what an individual might wish for and then prescribe the best way to meet those needs.

T

Which type of employee drug testing commonly occurs after a work accident?

Testing for cause

Community concerns about minority, women and disabled veteran-owned enterprises include which conditions? (Check all that apply.)

They frequently have a low-income customer base, making it harder to profit. The businesses often operate at an economic disadvantage. They face stiff competition from established organizations.

What is the primary reason that consumer groups oppose the use of mandatory arbitration clauses to resolve customer disputes?

They limit the rights of consumers to sue the firm.

Whistle-blowing often results in which costs to the whistle-blower? (Check all that apply.)

They may be unfairly ostracized. They may be demoted or fired.

What was the outcome of IKEA's sustainable cotton initiative, according to the case IKEA's Sustainable Cotton Supply Chain?

They reached 100 percent of their goal with 82 percent sustainable cotton and 18 percent recycled content.

When Nike learned that suppliers' excessive overtime was due to style proliferation, what action did the company take to remediate the problem?

They reduced the number of styles made in each supplier plant.

Identify the primary reason given by supply chain managers for investing in social and environmental responsibility.

To create a positive company brand or image

What is the primary reason that businesses adopt voluntary codes of conduct?

To forestall stricter regulation by government

Identify one valid reason that justifies management's use of employee monitoring.

To measure worker productivity

True or false: Ideally, business support of the community and community support for business should be roughly in balance.

True